Barclay twins sink £8m into casino as buyers circle The Ritz
Saturday 25th January 2020
The billionaire owners of The Ritz, Sir David and Sir Frederick Barclay, have injected £8million into its loss-making casino as they seek a buyer for one of the world's most famous hotels.
The Barclay twins are reportedly assessing offers from a number of Middle Eastern investors who could pay up to £800million - £6.1million per bedroom - for the five-star hotel in London's West End.
Last week, company documents revealed that the 84-year-old brothers ploughed £8million into the Ritz Club, the gambling salon based in the hotel's former ballroom, after firing the starting gun on the sale process.
For sale? The Barclay twins are reportedly assessing offers from a number of Middle Eastern investors
The casino has not made a profit since 2016 due in part to increased regulation and a drop in the number of wealthy gamblers from the Far East.
The investment was made to cover trading losses after the Ritz Club posted an £8.9million pre-tax loss for the year to December 31, 2018. The previous year, when the casino lost £11.3million, the Barclays invested £10million.
The Barclays, who are worth a combined £8billion, also own the Telegraph newspapers.
They bought The Ritz for £75million in 1995. It is understood that they have not yet determined whether the casino will be included in the deal.
Possible buyers for the Ritz are said to include Saudi-backed investment group Sidra Capital and the Qatar Investment Authority.
The Barclays declined to comment.